Trix Fudge Company Flexible Budget Performance Report: Sales and Operating Expenses For Year Ended December 31 Flexible Budget Flexible Actual Variance Budget Volume Variance Master Budget Sales volume (number of cases sold) 12,900 12,900 11,600 Sales revenue ($33 per case) $ 420,700 $ 5,000 U $ 425,700 $ 42,900 F $ 382,800 Less variable expenses: $ 37,100 1,600 F $ 38,700 3,900 U $ 34,800 Sales expense ($3 per case sold) Shipping expense ($4 per case sold) 48,700 2,900 F 51,600 5,200 U 46,400 Contribution margin 334,900 500 U 335,400 33,800 F 301,600 Less fixed expenses: Salaries 12,300 10,800 10,800 Office rent 1,500 1,500 1,500 Operating income $ 321,100 $ 323,100 FA 289,300